Various catalysts have been tested for conversion and upgrading of liquid and solid fuels. Among them molybdenum sulfide-based catalysts are widely used for hydroprocessing and hydrodesulfurization. Mo sulfide can be prepared from molybdate or thiomolybdate. A well-established method for preparing MoS.sub.2 catalyst involves decomposition of ammonium tetrathiomolybdate (ATTM) in an inert gas or in H.sub.2. The MoS.sub.2 catalyst generated from decomposition of ATTM is more active than that from sulfidation of molybdenum oxide or the reagent MoS.sub.2, and thus ATTM has been used as catalyst precursor for generation of active MoS.sub.2. The surface area values for thus-prepared MoS.sub.2 catalysts are relatively low, usually somewhere between 6-70 m.sup.2 /g. It is desirable to have a MoS.sub.2 catalysts with higher surface area values than currently available. It is also desirable to have a MoS.sub.2 catalysts t hat is more active than currently available.